The Mexican economy registered a fall of 0.5 percent at a monthly rate during November, reported the National Institute of Statistics and Geography (Inegi), with which the economy linked its second month without growth.
In its report this Tuesday, the Inegi announced that tertiary activities fell 0.9 percent, while primary activities grew 5.3 percent, while secondary activities showed no change.
This is the second month in which the economy does not register growth, since in October it did not change.
Previously, it had reported three months with an increase of 0.7, 1 and 0.4 percent, in September, August and July, respectively. Previously, in May and June there had been falls of 0.3 and 0.2 percentwith which a streak of six consecutive months with increases in economic activity was cut.
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In the annual comparison, during November there was an increase in economic activity of 3.5 percent.
Given these data, the director of Economic Analysis of Banco Base, Gabriela Siller, considered that showed a deeper contraction than expected.
“In Mexico, the IGAE for November showed a deeper contraction than expected by the IOAE, going from -0.13% to -0.45%. If in December the economy contracted 0.37% as indicated by the IOAE, the GDP would have shown growth in the fourth quarter, close to 0.15%”, calculated the economist.
The IGAE and IOAE figures imply a growth of Mexico’s GDP for 2022 of 2.99%. The data will be published by INEGI the following week and could be different if revisions are made to the historical GDP series.
— Gabriela Siller Pagaza (@GabySillerP)
January 25, 2023
For her part, the deputy director of Economic Analysis at Monex Casa de Bolsa, Janneth Quiroz, considered that the economy is losing strength.
“When looking at the graph of the annual and monthly percentage changes of the IGAE, it is perceived that the upward trend of the last months loses strength at the beginning of the fourth quarter of 2022,” he shared through his social networks.
At this same point, Quiroz shared graphs where it can be seen that in November the agricultural, recreational services and construction sectors were on the rise; while accommodation service, wholesale trade and retail trade were the ones that had the most pronounced falls.